Top subcategories

... • Supported the theory of
laissez-faire economics
• Believed in a free-market
economy, supply and demand
would determine prices and
other economic decisions.
• He also believed that while
governments should not
interfere in economics, they
did have a duty to protect
citizens and provide public
works ...

... 14. What are the benefits of the US free-enterprise system to producers and consumers? 2.2
15. What are the goals of US economic policy? 2.3
16. Why are scarcity and choice basic economic problems? 2.3
17. How do laws against false advertising promote economic equity? And which of the economic goals ...

... the two words that describe a good and the two words that describes a service
sentence that indicates what scarcity requires of us
the two definition of economics
the two things that help to determine how society deals with the problem of
scarcity
the four factors of production
differences between c ...

... that is useful, transferable to
others, and used to satisfy
wants and needs
1. durable good (3
years)
2. nondurable good
(wears out)
3. consumer good
(intended for
consumer)
4. capital good (a
factor of production)
...

... *This chart was compiled by Raymond E. Lombra, Ph.D., a Professor of Economics and Dean for
Research, Graduate Studies and College Advancement at Penn State University. He has authored,
co-authored and contributed to numerous economic and financial books, publications and
periodicals. Professor Lom ...

... 1. The global transfer of foods, plants and animals during the colonization of the Americas:
_______________________________________________________________________
2. New plants that came to the Americas from Europe, Asia, and Africa:
________________________________________________________________ ...

... FISCAL POLICY-a government’s policy of taxation and spending
GROSS DOMESTIC PRODUCT-(GDP)-the value of all goods and services
produced in a country each year
RECESSION-a period of the business cycle marked by low economic activity,
reduced profits, and rising unemployment
INFLATION-a general rise in ...

... should be produced, how they should be
produced, and who gets the goods and services
that are produced.
• The U.S. economy is a mixed economy in which
the government supports and regulates the free
market.
...

... capital investments (education, technological development, research and development,
equipment, facilities, etc.) Present-focused spending would be on consumables that do
not have long-lasting value and are merely for present pleasures or needs.
Economy or Citizenry Decision-making: The laissez fair ...

... 2. In _____________ economy decisions are guided by the change in prices that occur
between individual buyers and sellers in the market place.
a. traditional
b. market
c. capitalism
d. enterprise
3. In ______________ economy customs and habits of the past are used to decide what
and how goods will b ...

... Because economic resources are limited, a country must answer three key
economic questions:
1) What goods to produce?
2) How should these goods be produced?
3) Who consumes the goods?
In answering these questions, societies must consider their economic
goals, such as: economic freedom, economic effi ...

... free: like Newton’s laws of physical motion it
aims to define a set of laws governing
economic activity.
 Forces of supply and demand interact to
achieve optimal outcomes for all
 Economic decisions are made on the basis
of ‘utility maximization’
 The economy is a dynamic system with a
multitude ...

... • By the seventeenth century, financial markets were becoming quite well
organized but the law still set a maximum to interest rates. Repeated
proposals to lower the maximum legal rate to what would certainly have
been an unsustainably low level came very close to being passed in the
1690s. Low inte ...

... scrip to pay for resources and occupying armies greatly increased money supply. Despite high inflation, hyperinflation hardly
occurred because of a sustained transactions demand for money, because of Japan’s strong enforcement of monetary monopoly,
and because of declining Japanese military capabili ...

... – Gross Domestic Product (GDP): the dollar value of
all ﬁnal goods, services, and structures produced
within a country’s borders in a 12-month period
• Key indicator of nation’s economic health
...

... Professor of Economics at the University of Minnesota. She is also an editor at the Review of Economic Dynamics, a Research Economist at the National Bureau of Economic
Research, and Treasurer of the Society for Economic Dynamics.
Ellen received her B.S. in Economics and Mathematics from Boston Coll ...

... and industrial projects are evaluated. Nonrenewable raw materials should be treated as
ﬁnite geological capital and therefore limited,
rather than being valued simply at the cost of
extracting them. We also need to get away
from the emphasis on short-term ‘economic
gain’ rather than investing in act ...

... Like his teacher Plato, Aristotle favored rule by a single strong leader.
At his school, the Lyceum
He helped people learn how to make rational decisions and established the basis
of the scientific method.
Courses in the early European universities were based on the work and ideas of
Aristotle.
Will ...

Ancient economic thought

In the history of economic thought, ancient economic thought refers to the ideas from people before the Middle Ages.Economics in the classical age is defined in the modern analysis as a factor of ethics and politics, only becoming an object of study as a separate discipline during the 18th century.